Encompass Health Corp (EHC)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 2,472,200 | 933,500 | 4,146,500 | 4,912,300 | 4,443,900 |
| Revenue | US$ in thousands | 5,373,200 | 4,801,200 | 4,348,600 | 5,121,600 | 4,644,400 |
| Gross profit margin | 46.01% | 19.44% | 95.35% | 95.91% | 95.68% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $2,472,200K ÷ $5,373,200K
= 46.01%
The gross profit margin of Encompass Health Corp has shown a generally stable trend from December 31, 2020, to December 31, 2022, ranging between 95.35% to 95.91%. This indicates the company has consistently been able to generate strong profits from its core operations during this period.
However, there was a significant decline in the gross profit margin to 19.44% as of December 31, 2023, suggesting a potential shift in the company's cost structure or pricing strategy that impacted profitability.
Subsequently, by December 31, 2024, the gross profit margin had improved to 46.01%, indicating a partial recovery in profitability but still below the levels seen in the earlier years.
Overall, Encompass Health Corp's gross profit margin has demonstrated variability over the years, highlighting the importance of monitoring and managing cost structures to maintain a healthy level of profitability.
Peer comparison
Dec 31, 2024